Six Tips All Bitcoin Users Need to Secure Digital Wallets

Cryptocurrencies have taken online payments to the next level offering quick and easier payment solutions than ever before. In terms of the most popular transactions, Bitcoin comes on top. Regardless, users must take into account these six tips to ensure wallets remain 100% guarded and protected online to avoid being targeted by online hackers.

Even the most popular platforms fall victim to cyber attacks. Among the most notable hackers is Pony Loader 2.0, who managed to successfully gain access to and steal $5 million worth of digital assets from Bitstamp. Regardless of how secure your exchange may present itself, these steps can help protect your online assets.

Tips for Wallet Protection

Encryption

To avoid online hackers create a difficult password. Feature personal questions to answer for security when using your wallet for online transactions.

Two-Factor Authentication

Take care of attacks from malware if you are depending on online storage. Don’t be fooled by trusted services as anything can be hacked easily. In this case, two-factor authentication is very important if you are going to use your wallet for online transactions.

Bitcoin System

You have to update your Bitcoin wallet system frequently to avoid any threat of malware and keep your OS protected to the highest degree.

In addition, manage your physical wallet storage and get rid your hardware of any damaged or insufficient files.

Always Have A Backup

It’s important to keep your BTC wallet backed up and create numerous copies stored in a secure location. If your digital wallet is no longer active, destroying copies and overwriting files can help deter hackers. Also, get rid of the unused files to decrease the chance of being hacked online.

Multisig Address

By creating what is called a multisignature address and making sure each signature originates from a different device adds an extra level of protection to your online transactions. It adds to the two-step verification process by creating multiple addresses to protect your wallet at its top security level. This process requires more than two participants to authenticate a transaction and has proven useful for corporate-based transactions in which keys are stored securely on various devices.

Anonymity

As a final tip, use an adaptable BTC client that allows you to change your address with each processed transaction. By utilizing escrow services, transactions can be temporarily stored and secured by middlemen followed by storing your funds offline for best practice. Don’t forget to save encrypted codes on paper and secure them in a physical vault.